QE3

The Federal Reserve has finally made its announcement that it plans to buy $40 billion of mortgage-backed securities every month and would keep buying them until the job market improves. This is a much overdue commitment by the Federal Reserve. Mr. Bernanke and the Fed finally spoke out yesterday and address the main issue of our economy, the lack of jobs. Not only is the Federal Reserve going to stimulate the economy every month but they are also going to keep low promised interest rates. By keeping their promise of low interest rates they are technically unleashing two stimulus plans at once!